[LINK] "Brazil Gains Business and Influence as It Offers Aid and Loans in Africa"
Simon Romero's New York Times article describing how growing Brazil is building up a growing presence in Africa, via trade and aid and cultural projection and the like, is worth reading in full. Brazil is the most populous and, in aggregate, the biggest economic power on the shores of the South Atlantic; it makes sense that as soon as it was able, its influence would be felt in Africa as well as in Latin America.
Brazil, which has more people of African descent than any other country outside of Africa itself, is assertively raising its profile again on the continent, building on historical ties from the time of the Portuguese empire.
The array of aid projects and loans recently extended to African countries points both to Brazil’s ambitions of projecting greater influence in the developing world and to the expanding business allure of Africa, where some economies are rapidly growing even as parts of the continent still grapple with wars and famine. The charm offensive is paying off in surging trade flows between Brazil and Africa, growing to $27.6 billion in 2011 from $4.3 billion in 2002.
“There’s the growing sense that Africa is Brazil’s frontier,” said Jerry Dávila, a historian at the University of Illinois who has written extensively about Brazil’s inroads across the South Atlantic Ocean. “Brazil is in the privileged position of finally reaching the institutional capacity to do this.”
[. . .]
Africa now accounts for about 55 percent of the disbursements by the Brazilian Cooperation Agency, which oversees aid projects abroad, according to Marco Farani, the agency’s director. Altogether, including educational exchanges and an expanding loan portfolio, Brazil’s foreign aid exceeds $1 billion, he said. Big portions of Brazilian aid also go to countries in Latin America, and there is a smaller focus on East Timor, the former Portuguese colony in Southeast Asia.
“We still have a smaller foreign aid profile than other some countries, but we’re learning how to do cooperation,” Mr. Farani said.
[. . .]
Other projects are intended to lure Africans to study in Brazil. A new university began offering classes last year for students from Portuguese-speaking countries, including Angola, Guinea-Bissau, Mozambique, and São Tomé and Principe.
Since Brazil does not need to import large amounts of oil or food, its plans in Africa differ somewhat from other countries seeking greater influence there. Outreach projects tie largely into efforts to increase opportunities for Brazilian companies, which sometimes work with Brazil’s government in offering aid.
Some of Brazil’s biggest inroads, predictably, are in Portuguese-speaking countries like Angola, where the Brazilian construction company Odebrecht ranks among the largest employers, and Mozambique, where the mining giant Vale has begun a $6 billion coal expansion project.
But Brazilian companies are also scouring other parts of Africa for opportunities, putting down stakes in Guinea and Nigeria. A leading Brazilian investment bank, BTG Pactual, started a $1 billion fund in May focused on investing in Africa. New links are also emerging, including Brazilian farming ventures in Sudan; a flight from Addis Ababa, Ethiopia’s capital, to São Paulo; and a fiber optic cable connecting northeast Brazil to West Africa.
Brazil, which has more people of African descent than any other country outside of Africa itself, is assertively raising its profile again on the continent, building on historical ties from the time of the Portuguese empire.
The array of aid projects and loans recently extended to African countries points both to Brazil’s ambitions of projecting greater influence in the developing world and to the expanding business allure of Africa, where some economies are rapidly growing even as parts of the continent still grapple with wars and famine. The charm offensive is paying off in surging trade flows between Brazil and Africa, growing to $27.6 billion in 2011 from $4.3 billion in 2002.
“There’s the growing sense that Africa is Brazil’s frontier,” said Jerry Dávila, a historian at the University of Illinois who has written extensively about Brazil’s inroads across the South Atlantic Ocean. “Brazil is in the privileged position of finally reaching the institutional capacity to do this.”
[. . .]
Africa now accounts for about 55 percent of the disbursements by the Brazilian Cooperation Agency, which oversees aid projects abroad, according to Marco Farani, the agency’s director. Altogether, including educational exchanges and an expanding loan portfolio, Brazil’s foreign aid exceeds $1 billion, he said. Big portions of Brazilian aid also go to countries in Latin America, and there is a smaller focus on East Timor, the former Portuguese colony in Southeast Asia.
“We still have a smaller foreign aid profile than other some countries, but we’re learning how to do cooperation,” Mr. Farani said.
[. . .]
Other projects are intended to lure Africans to study in Brazil. A new university began offering classes last year for students from Portuguese-speaking countries, including Angola, Guinea-Bissau, Mozambique, and São Tomé and Principe.
Since Brazil does not need to import large amounts of oil or food, its plans in Africa differ somewhat from other countries seeking greater influence there. Outreach projects tie largely into efforts to increase opportunities for Brazilian companies, which sometimes work with Brazil’s government in offering aid.
Some of Brazil’s biggest inroads, predictably, are in Portuguese-speaking countries like Angola, where the Brazilian construction company Odebrecht ranks among the largest employers, and Mozambique, where the mining giant Vale has begun a $6 billion coal expansion project.
But Brazilian companies are also scouring other parts of Africa for opportunities, putting down stakes in Guinea and Nigeria. A leading Brazilian investment bank, BTG Pactual, started a $1 billion fund in May focused on investing in Africa. New links are also emerging, including Brazilian farming ventures in Sudan; a flight from Addis Ababa, Ethiopia’s capital, to São Paulo; and a fiber optic cable connecting northeast Brazil to West Africa.